IMF Cuts World GDP Outlook, Warns of Global Recession

The transcript discusses the worsening global economic risks since April, highlighting concerns such as a potential global recession, inflation, and central bank actions. The IMF's forecast for GDP growth has been downgraded, and the definition of a global recession is explained. Inflation is rising, and central banks must act carefully to avoid economic damage. Market expectations suggest the Fed may be less aggressive due to recession risks, with discussions on potential rate hikes and their implications.

What are some of the risks mentioned that could lead to a global recession?

• Sudden increase in global oil prices

• Cutoff of European gas imports

• Decrease in global population

• Rise in global tourism

According to the IMF, what GDP growth rate defines a global recession?

• 1.5%

• 4.0%

• 2.5%

• 3.5%

What is one of the main challenges central banks face in the current economic climate?

• Reducing taxes

• Boosting exports

• Managing inflation

• Increasing tourism

What is the expected Federal Reserve rate hike discussed in the video?

• 10 basis points

• 25 basis points

• 75 basis points

• 50 basis points

What is the slim chance rate hike mentioned by the former Fed official?

• 50 basis points

• 75 basis points

• 100 basis points

• 25 basis points